Domestic parts and components industry is showing four major trends


The 50-year history of the domestic parts and components industry has shown four major development trends.

Production Pattern: From "Large and Complete" to Different Levels of Specialized Division of Labor

In the 1950s, the industrial base of the domestic auto parts industry was rather weak, and only the ability to produce auto repair parts was available. The construction of FAW led 86 parts factories to carry out technological transformation, and initially formed a production system for parts and components that liberated the company. From automobile standard parts to non-standard parts, it was basically manufactured and manufactured by FAW.

In the 1960s, the company established the Second Automobile Company, and in the Hubei region there were 29 cooperating accessories factories that simultaneously carried out technological transformation or new construction. Into the 1970s, under the condition that the national automobile production could not meet the demand, a large number of parts and components factories emerged, forming a scattered, repetitive, and small-batch production pattern of parts and components.

After nearly 20 years of development, domestic auto parts companies have begun to follow the law of development, according to the principle of doing something for nothing, specialize in production, concentrate their strength, develop superior products, and strive for survival and development in the competition.

Zhu Zhongyi, general manager of Zhucheng Yihe Cheqiao Co., Ltd., sympathized with this: “The parts and components companies must implement specialized production and professional management, identify professional benchmarks, and carry out professional transformation. We must continue to do so.” The company will take The vehicle axle production team was spun off and a professional passenger vehicle axle division was set up; the export products were stripped out to increase the output and form a scale.

At present, some spare parts factories have gradually emerged from the "big and total" production pattern and embarked on a specialized production road.

Matching Market: From Single Market to Market Integration

In the past, the characteristics of the domestic auto parts industry were oriented to the domestic market, to a single commercial vehicle group, and to a single matching market or aftermarket. Later, many parts and components companies began to integrate the supporting market, mainly in the situation of changing to a single vehicle company or vehicle model, facing the market, and strive to support a number of companies; based on domestic and expand the international market.

Since the 1990s, the sedan and passenger car industries have expanded their joint ventures, cooperation, and technological innovations. Components companies that are directly subordinate to major companies such as FAW, Dongfeng and Yuejin have been separated to form independent wholly-owned subsidiaries. For the social support. Especially in the 1980s, Santana and other imported models were launched, which improved the technical level of domestic parts manufacturing and enabled many parts and components companies that have been supporting commercial vehicle companies to start diversification.

Chengdu Zhengheng Power Fittings Co., Ltd.'s products used to be mainly supporting small cars. At the end of 2003, the company realized that economical cars would be the mainstream products in China's auto market in the future, so they should adapt to this development situation and optimize the product structure. Today, the company not only supports a number of domestic car companies, but also has entered the U.S. universal global supporting system.

Development Mode: From Simple Dependency to Global Purchasing

In the past, China’s auto market was relatively stable, and there was little change in consumer demand. Vehicle manufacturers did not need to develop excessive models. The demand for parts and components did not change much. In order to strengthen the control of parts and components companies and save costs, the automaker Take a vertically integrated development model. Therefore, China's auto parts industry has formed a development model that depends on the entire vehicle company, which directly leads to the problem of fragmentation in the domestic auto parts supporting system. Each OEM has its own parts and components company.

In recent years, the globalization awareness of the parts and components industry has gradually increased, and many companies have begun to actively or passively consider expanding market channels. Many OEMs continue to reduce the rate of autonomy of parts and components, implement a global procurement strategy, move from purchasing multiple parts manufacturers to purchasing from a few system suppliers, switching from individual parts procurement to module procurement, and moving from domestic procurement to global sales. purchase.

At present, Yunnan Xiyi Industrial Co., Ltd. has become a supplier of Japanese Mitsubishi and American Ford companies in China. Dong Shaojie, the deputy general manager of the company, believes that global procurement is a development rule that is not based on the will of human beings. Parts companies must join the international cycle and face both international and domestic markets, and use both domestic and international resources to improve their products. Competitiveness, to the international market.

Capital Structure: From State-Owned Standout to Multiple Forms Coexist

Before the reform and opening up, China's parts and components industry was dominated by state-owned capital. In the initial period of reform and opening up, the proportion of state-owned capital in the parts and components industry gradually decreased, and there was a period of simultaneous state-owned capital and private capital. Today, state-owned capital, private capital, and foreign capital are three pillars, and a variety of capital forms coexist.

The proportion of private capital in small and medium-sized parts and components companies continues to rise. In Jiangsu, Zhejiang, Guangdong, and Fujian regions, some private enterprises have shown strong competitiveness, such as Wanxiang Group and Zhejiang Wanfeng Auto.

The use of foreign capital is an important way for auto parts industry to achieve exports. According to statistics, in 2005 there were more than 90 Sino-foreign joint ventures and wholly foreign-owned enterprises contracted, and the agreement amounted to nearly 4 billion U.S. dollars. At present, China's cars are mainly produced by joint ventures; to meet their supporting needs, multinational companies have established a number of high-level parts and components companies in a joint venture or wholly-owned manner.

In recent years, the number of wholly foreign-owned enterprises has continued to increase, and domestic competition has gradually shown an international trend. Experts in the industry believe that auto parts companies should use assets as a link and products as a leader to implement joint mergers and acquisitions and investment diversification methods, speed up reorganization, transformation and mechanism conversion, improve their independent development capabilities, master independent intellectual property rights, and participate in international competition.




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